Rwanda faces tremendous development challenges. The lack of transformation of the economy over the past decades implies that most of the population derives its income or subsistence from agriculture. At the same time, the rising population, land pressure, erosion and mode of exploitation imply that labour productivity in agriculture has been on a declining trend. In order to engage on a sustainable development path, achieve a broad-based reduction in poverty, halting the spread of HIV/AIDS, providing universal education, meeting Millennium Development Goals (MDGs) and entrench peace and stability, Rwanda will need to transform its economy by developing the secondary and tertiary sectors. This is clearly recognized in the Vision 2020 development strategy and in line with major principles and guidelines established by the Constitution of the Republic of Rwanda on how to construct a united and inclusive Rwandan identity, the transformations needed to emerge from a deeply unsatisfactory social and economic situation hence the present medium term framework for achieving the country’s long term development aspirations. These development packages include (MDGS, Vision 2020, EDPRS, Employment policy, Investment policy among others).

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